CTI.L Regulatory News (CTI)

Cathay International Holdings Limited

("Cathay" or the "Company")

Interim Management Statement

Hong Kong, 19 November 2013 - Cathay International Holdings Ltd. (LSE:CTI.L), an investment holding company and a leading investor in the growing healthcare sector in the People's Republic of China ("PRC"), today announces its Interim Management Statement for the period from 1 July 2013 to 19 November 2013 in accordance with FSA Disclosure and Transparency Rule 4.3.

Mr. Lee Jin-Yi, CEO of Cathay International Holdings Limited, commented: "Cathay remains focused on creating synergies across the Group and on expanding its product portfolio in key areas. We are pleased with inositol's recent progress and will continue to advance and develop this programme. We remain positive about the opportunities within the growing Chinese pharmaceutical and healthcare market and for the potential for inositol."

Business Update

During the period, Lansen continued its focus on marketing and growing the sales of Pafulin, Tuoshu and Mycophenolate Mofetil (MMF) in the rheumatology markets and has also started to widen the indications of Pafulin in dermatology. The new business development team at Lansen is actively reviewing a list of drug opportunities for the treatment of autoimmune related diseases to expand its current product portfolio. During the last quarter, Lansen entered into a plant extract supply agreement with Haotian, continuing its strategy to develop its plant extract business into a medical grade supplier of key ingredients for healthcare products, and successfully secured a reliable supply of good quality plant extract ingredients at a competitive price for its production needs.  Lansen has also acquired the misoprostol development project from Tianjin Longbai, which represents an opportunity to invest in the labor induction market and adds to its gynaecological product portfolio. The Company believes that Lansen's transactions with Haotian and Tianjin Longbai will create business synergies within the Group.

As reported in the first half, Haotian began working with corn fluid suppliers to ensure the smooth and continued supply of raw materials. In the last quarter, Haotian has continued to work on improving corn fluid flow and is now starting to implement the improved process. This, along with the usual low levels of phytin that can be extracted from corn fluid during new corn harvest season, has affected our phytin yield and supply. Therefore, we have adjusted our target inositol production run rate to 1200 tonnes per annum by the end of this year. As corn stem starts to dry, the phytin yield from corn fluid will gradually increase and, coupled with the implementation of the improved corn fluid flow process, the inositol production run rate should reach 1500 tonnes per annum in the first half of 2014. The inositol market price has remained relatively stable during the period and Haotian has continued to build up sales orders under term contracts. Haotian also started to rebuild the business volume of its bilberry extract.

Our hotel has continued to provide high quality service to its guests. It achieved a higher than average growth in room occupancy at relatively stable room rates, outperforming its peers in the Lowu district in Shenzhen.

Financial position

There has been no significant change in the financial position of the Group since the Company's interim results for the six months ended 30 June 2013, reported on 29 August 2013.

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For further enquiries, please contact:

Cathay International Holdings Limited

Eric Siu (Finance Director) Tel: +852 2828 9289

Patrick Sung (Director and Controller)

Consilium Strategic Communications Limited

Mary-Jane Elliott / Amber Bielecka / Lindsey Neville Tel: +44(0) 20 7920 2354

About Cathay

Cathay International Holdings Limited (LSE: CTI.L), focused on the People's Republic of China ("PRC"), is an investment holding company and a leading investor in the growing healthcare sector in the People's Republic of China ("PRC"). The Group employs more than 2,000 people across the PRC, including over 30 specialist corporate and business development staff based at the holding company's offices in Hong Kong and Shenzhen.

Cathay aims to identify investment opportunities with emphasis on high growth healthcare markets and build them into market sector leaders, with a clear exit strategy. Cathay has demonstrated a strong track record of identifying high-growth potential investment opportunities in this area including: Lansen Group, China's leading specialty pharmaceutical company focused on rheumatology and Haotian Group, a company engaged in the manufacture, marketing and sale of key active ingredients for healthcare products, including inositol. To complement its healthcare portfolio, Cathay has a research and product development business focused on bringing new products to the growing Chinese market.

Cathay also has a private equity investment arm focused on minority investment opportunities and a hotel investment. For more information please visit the Company's website: www.cathay-intl.com.hk.